Casual Dining Group (“CDG”), the operator of nearly 300 mid-market restaurant brands including Las Iguanas, Café Rouge and Bella Italia, announces a new cash investment of £30m to fund growth opportunities as part of a successful refinancing of the Group.
The capital injection and refinancing, led by KKR, with the support of management and all other shareholders, including funds managed by affiliates of Apollo Global Management, LLC and Pemberton Asset Management, provides a long-term capital structure for the group, strengthens the balance sheet, and positions CDG for growth. KKR and Apollo have been investors in CDG since 2015, providing debt and equity funding, and will remain so going forward.
Steve Richards, CEO of Casual Dining Group, commented:
“We are delighted to have agreed substantial new investment which establishes a strong foundation to continue to invest in our brands and take advantage of opportunities in the sector as they arise. With no external debt and strong funding, this gives Casual Dining Group a very strong financial platform”
“Against a challenging backdrop, we continue to perform ahead of the market, with total sales up nearly 5% and like-for-like sales up 2.3%, in the past 14 weeks. We have also seen double digit profit uplift in the period. Our growth initiatives gather pace with delivery, partnership openings and our digital-first approach all driving sales. We have opened 7 new concession sites in airports and hotels since the start of the year with an active schedule of UK owned and international franchise new openings in the pipeline, building on our existing well invested estate.”